1 BASIS OF PREPARATION
The Financial statement have been on historical cost basis and on the accounting principles of going concern in
accordance with generally accepted accounting principles comprising of the mandatory Accounting Standards
referred to in Section 133 of The Companies Act, 2013 read with rule 7 of the Companies (Accounts) Rules, 2014 and
Guidance Notes issued by Institute of Chartered Accountants of India. The accounting policies adopted in the
preparation of financial statements have been consistently applied
All the assets and liabilities have been classified as current and Non-current as per the Company's operating cycle
and other criteria set out in the Schedule III to the Companies Act, 2013. Based on the nature of products and time
between acquisition of assets for processing and realization in cash and cash equivalents, the Company has ascer¬
tained its operating cycle as 12 months for the purpose of current and non-current classification of assets and
liabilities
2 USE OF ESTIMATES
The preparation of Financial statement of the company is on conformity with Indian Generally Accepted Accounting
principles require management to make estimates that affect the reported amount of assets and liabilities at the date
of the Financial Statement and the reported amounts revenue and expenses, during the reporting period, although
these estimates are based on management's best knowledge of current events and actions, actual results may
ultimately differ from these estimates, which are recognized in the period in which the results are
known/materialized.
3 PROPERTY PLANT & EQUIPMENT
Property, Plant and Equipment are stated at cost, less accumulated depreciation / amortisation. Costs include all
expenses incurred to bring the asset to its present location and condition.
Losses arising from the retirement of, and gains or losses arising from disposal of fixed assets which are carried at
cost are recognised in the Statement of Profit and Loss.
5. IMPAIRMENT OF ASSETS
An asset is treated as impaired, if any, when the carrying cost of asset exceeds its recoverable value. An impairment
loss, if any, is charged to the Statement of Profit and Loss in the year in which an asset is identified as impaired.
6 INVESTMENTS
Investments are classified into long term investments and current investments. Investments which are intended to
be held for one year or more are classified as long term investments and investments which are intended to be held
for less than one year are classified as current investments. Long term investments are carried at cost less other than
any temporary diminution in value, determined separately for each investment. Current investments are carried at
lower of cost or fair value. The comparison of cost and fair value is done separately in respect of each category of
investment.
7 CASH & CASH EQUIVALENTS
Cash and cash equivalents in the balance sheet comprise of cash at bank and in hand and short-term investments, If
any , with an original maturity of twelve months or less.
8 REVENUE RECOGNITION
Revenue from services rendered is recognized on completion of service and when reasonable right of recovery is
established and the revenue can be reliably measured and on accrual basis.
9 Other Income
Interest income is recognised on a time proportion basis taking into account the amount outstanding and the rate
applicable. Commission and Professional Charges income is recorded when the right to receive payment is estab¬
lished
10 Employee Benefits
The Contribution towards provident fund for employees is made to the regulatory authorities, where the Company
has no further obligations. Such benefits are classified as Defined Contribution Schemes as the Company does not
carry any further obligations, apart from the contributions made on a monthly basis.
11_ BORROWING COST
Borrowing cost attributable to the acquisition or construction of a qualifying asset are capitalized as part of the cost
of such asset. A qualifying asset is one that necessarily takes substantial period of time to get ready for intended use.
All other Borrowing costs are recognized as an expense in the period in which they are incurred. Borrowing Cost
consist of Interest and Other Cost that an entity incurs in connection with the Borrowing of funds.
12 FOREIGN CURRENCY TRANSACTIONS
Foreign currency translation in respect ofrevenue items are stated at actual rates transacted and In respect of
balance sheet items converted at relevant rates as at the end of the accounting year followed.
13" TAXATION
Tax expense comprises current and deferred tax.
Current income tax is measured at the amount expected to be paid to the tax authorities in accordance with
Income Tax Act, 1961.
Deferred tax expense or benefit is recognised on timing differences being the difference between taxable income
and accounting income that originate in one period and is likely to reverse in one or more subsequent periods.
Deferred tax assets and liabilities are measured using the tax rates and tax laws that have been enacted or
substantively enacted by the balance sheet date.
14 CASH & CASH EQUIVALENTS
Cash and cash equivalents in the balance sheet comprise of cash at bank and in hand and short-term investments
with an original maturity of twelve months or less.
Earmarked balances with bank, margin money or security against borrowings, guarantees and other commitments,
if any shall be treated separately from cash and
cash equivalent
15 EARNING PER SHARES
Basic earning per share is computed by dividing the net profit or loss for the period attributable to equity share¬
holders by the weighted average number of equity shares outstanding during the period. Diluted earning per share
is computed by taking into account the weighted average number of equity shares outstanding during the period
and the weighted average number of equity shares which would be issued on conversion of all dilutive potential
equity shares into equity shares.
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